German finance minister predicts end for sterling

Wolfgang Schäuble, the German finance minister, has predicted the end of the British pound in an interview with newspaper Die Welt.

Merkel and Cameron Source: The Prime Ministers Office
Merkel and Cameron. Source: The Prime Ministers Office

In the interview, the finance minister says the day where the whole of Europe was united under a common currency would arrive “faster than many people believe today in the British Isles”.

British prime minister David Cameron has flown to Germany for talks with leader Angela Merkel to dicuss its approach to saving the euro and the implementation of a financial transactions tax, or “Robin Hood” tax.

The two leaders are reported to have differing views on the best way for the eurozone sovereign debt crisis to be resolved, with some calls from the UK for the European Central Bank to begin quantitative easing countered by fears from Germany of the prospect of increased inflation.

The financial transactions tax has also been a sticking point between the two countries, with many in the UK arguing that it could harm the British economy, with its large financial sector.

To receive more relevant articles like this one, why not sign up to our briefings and breaking alerts by clicking here.